engro foods marketing
Marketing Final Project Presentation
Professor Madiha Munawar
Group MembersUsman Manzoor (0083)Maryam Hussain (0078)Zunaira Shakeel (0085)Umm-e-Rubab (166)
Engro Corporation Introductiono Engro Corporation Limited (formerly known as .Engro
Chemical Pakistan Limited.) is one of the largest industrial corporations in Pakistan.
o It operates in various sectors• Fertilizer• Food• Energy• Chemical• Business Automation Solutions
Fertilizer Food Beverages Chemicals Polymers Power Generation Petrochemical
Engro Foods Ltd Introduction o Engro Foods Limited was formed as a wholly owned
subsidiary of Engro Corporation in 2005.o It start its operation in 2006 and become major player
in Food industry.o It launches multiple products
• Ice Cream • Flavored Milk • Fruit Juices • Milk Powders
Vision & Mission Statement
“To be the premier Pakistani enterprise with a global reach, passionately
pursuing value creation for all stakeholders”
“Our mission is twofold, to help farmers maximize their farm produce by
providing quality plant nutrients and technical services upon which
they can depend. To create wealth by building new businesses based
on company and country strengths in petrochemicals, information
technology, infrastructure, food and other agriculture sectors.”
Objectives and goals:
Engro Foods main objectives are to supply everyone their favorite Olper’s Milk and to
satisfy the consumer need and wants. EngoFoods second objective is to increase the value for the stakeholders and company value.
We want to be the major player in the food industry.
Introduction to Leaders
Mr. Hussain Dawood(Chairman)
Mr. Asad Umer (Ex. President & CEO)
Mr. Ali-u-din Ansari (President & CEO)
Quick Facts & Figures 12 Brands
45% Market Share of Dairy Products
Market Share in 310 Cities in Pakistan18 states in USA4 Provinces in Canada
18th Largest Customer of Tetra Pak World Wide
2nd Largest Company of Chilled Milk Collection of Pakistan
900 Milk Collection Centers
35,000 farmers directly linked with EFL
Business Level Strategy: Engro Foods wants to achieve more market share
than other competitors. In order to achieve the more competitive advantage company uses the differential strategy by differentiate its products
from other competitors. Engro Foods differentiate itself in the form of taste, quality and availability of their product in the market.
Demographic SegmentationEngro foods are not particularly bound with any age pr any lifecycle stage.
The brands of Engro Foods are made for all level and middle and low level classes of Pakistan
Psychographic Segmentation On the basis of psychographic, factors such as personal traits, brand loyalty,
personal satisfaction, values, lifestyles Engro Marketers segment market according to these particular factors to get more and more sales and
company goodwill and fame
Behavioral Segmentation Engro product have been segmented into the behaviors and perceptional
factors that consumers get benefits and values for Engro's products by using their Milk and Other brands that loyally fulfill their level of
satisfaction and other factors that directly target to their behaviors towards the brands and the company
Engro Foods Marketing Mix Strategies
Product Variety: A wide range of dairy ice creams and frozen deserts.
Quality: Premium ice cream rich in calcium and which is fresh every time.
Design: Includes ice pop, Choc bar, dairy ice cream and pop sticks.
Features: Made from fresh milk and ice cream and high nutrition
Product Names: Olpers, Olfrute, Omore Omung Lassi, Dairy Omung Olwell, Frozen ice pops
Packaging: High quality and eye catching packing, Packing color ranges red, blue, yellow, orange and green. Packaging is colorful
Sizes: Sizes includes 1ltr. And half ltr. For dairy milk, chic bars serve ice cream are of different sizes.
Service: Satisfying customers with warranty and money back guarantee
Returns: Only in case when products are expired
PriceCups Rs 20
Soft Serve ice cream Rs 10-50
1Ltr. Ice cream Tub Rs 150
2 Ltr. Ice cream Tub Rs 275
Cones Rs 30
Ice pop Rs 10
Olpers per Ltr. Rs 105
Olwell Cream Rs 80 The prices of its competitor (WALLS) more or less the same and
price of liter ice cream is less then Walls which is great strategy Omore offers a 16% margin to retail traders and shop keepers
which are slightly lower than Walls, who offer a margin of 20% to shopkeepers. They are new in the market and do not have the
same relationship with retailers like Walls
PlaceChannels: Sells directly to the end user through retailers and
shopkeepers. This is trend in Pakistan followed by many FMCG’s.
Coverage: Engro Products for the time being is only available in limited areas on Punjab and available throughout Pakistan. The company started off its operation in Punjab because it has the largest population.
Transport: Engro products are transported to retailers and shopkeepers through private transportation firms and also through few trucks owned by company
Locations: Available at large/medium and small sized bakeries, grocery stores and pharmacies in Pakistan-Sell their products directly to consumers using cycles and their own personnel. This strategy has been in practice for many years and is being used by Walls and Hico.
PromotionAdvertising: Vehicle Advertising, Outdoor billboards, Point of
sale Displays and Ads on televisions. Advertisements are mostly colorful reminiscent to their ice cream packaging. When Engro foods was initially launched they adopt a unique way of advertising.
Message: Linked Engro foods with joy and happiness so their tagline/ slogans is ART OF HAPINESS linked with consumers and got review of different product using various medium social communications e.g. Facebook and Orkut linked their ice cream with other brand names like Olpers and Olwell. This promoted their other brands as well which are also relatively new in the market.
Quality products Suitable Brand Names Good Packaging Motivational Slogans Best Marketing Campaign Strong Relationship with Farmers Strong back by Engro Corporation Good Consumer Response Strong Research & Development
Depend on Tetra Pack No Powder Milk Production Ability Engro Foods have 40 milk collection
center in Pakistan which are not enough for increased demands
Have only one Dairy farm which is not enough provide required quantity of Milk
Increase in consumption of processed milk by the consumer
Population growth High migration rate of people to Cities Flexible Government policy for food industry Improvement in Literacy Rate Have enough funds to expand their Operations
High Inflation Rate Law and Order Situation Low purchasing power of the People Giant Competitor in the Market New Companies Arrival
Engro Foods should have much diversified bi-product line of dairy products
like Nestle & Haleeb.
They should introduce new promotions to get customers’ attention
EFL should expand its dairy farms so that they can get competitive advantage.
EFL should focus on Market Penetration, Market Development and Product
Development strategies with more efforts to be the market leader.
They should go expand its capacity to enter into in international market like
Engro Foods can be into Co-branding with other brands like Olper’s with
Lipton tea bags, Olper’s with different biscuits etc. to increase their sales
They can also move towards other foods products like Nestle launch Kit Kat
Chocolate, Meggi Noodles, Sweets Candies etc.
Conclusion Engro is going to be a market leader due to different reason like its financial
position, product quality, R & D, market share, sales growth etc. Its price is more or less equal to its competitors, it matches its quality with its competitors and capturing its competitor’s share from market. Engro is using its brand name and its packaging is good to promote its products and EFL is becoming very popular as compared to its competitors.
Company has planned to make Omore world class premier quality brand like
existing brands of Engro Foods. Company is also working on cereals in coming years. They has planned to move other dairy products as are offering by its competitors Nestle like yogurt, flavoured yogurt (raita), cereal for babies etc. Foods competitors Nestle and Haleeb are biggest threat. There are opportunities and doors for new players are open who can be the future competitors.
Consumer is aware now, there is need to maintain the quality of products. Consumers perceptions and price differentials can cause threat for the company, Consumer’s preferences changes timely and prices might create certain barriers in terms of the profit margins for ENGRO FOODS.
In short Engro Foods should grow and maintain its position. That is why EFL is increasing Market Penetration, Market Development & Product Development strategies.
Questions & Answers